Press Releases | 18 Nov 2025

ENGIE and Sunway Property Expand Sunway Square District Cooling Partnership to Advance Malaysia’s Low-Carbon Future

District Cooling

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ENGIE and Sunway strengthen their partnership with the expansion of the Sunway Square District Cooling System, extending sustainable cooling solutions to Sunway Education’s facilities. (From left to right: Wong Yin Kee, Managing Director for Malaysia, ENGIE; Jacques Boonen, Managing Director for Southeast Asia, ENGIE; Prof. Dato’ Elizabeth Lee, Chief Executive Officer, Sunway Education Group; Chong Sau Min, Chief Executive Officer, Sunway Property (Central & Northern Region))

 

 

KUALA LUMPUR, MALAYSIA, 18 November 2025 – ENGIE, a global leader in low-carbon energy and services, and Sunway Property, the property arm of Sunway Group, today announced the expansion of the Sunway Square district cooling system partnership through their joint venture, ENGIE-Sunway DCS Sdn Bhd, to serve Sunway Education’s facilities, including Sunway University and Sunway College campuses.

The expansion builds upon the first district cooling system (DCS) launched in June 2025 to supply chilled water to the Sunway Square — a RM2 billion mixed-use development featuring Grade A offices, retail, a performing arts centre and a university block. With Sunway Square Corporate Towers now completed and tenants progressively moving in, the retail component is slated to open in December 2025, while the performing arts centre opens in 2026.

Scheduled to be completed in September 2026, the expanded DCS network connects up to 3,000 refrigeration tonnes (RT) of cooling capacity to serve eight SEG buildings, including the newly constructed Engineering Annex, Faculty of Engineering & Technology and Graduate Centre. It will meet up to 60% of the campuses’ peak cooling needs and approximately 75% of their annual cooling demand, cutting carbon emissions by 29%, equivalent to more than 48,000 tonnes of CO₂ avoided over the 24-year contract period.

This initiative supports Malaysia’s national target to cut greenhouse emissions by 45% by 2030 under the Paris Agreement.

 

Accelerating Malaysia’s Energy Transition with Scalable Infrastructure

The expansion reinforces ENGIE and Sunway Property’s shared commitment to developing scalable, low-carbon urban infrastructure that embeds sustainability into every layer of city design. This growth builds on the success of the first ~7,000 RT DCS facility serving four commercial buildings in Sunway Square, demonstrating district cooling can deliver measurable carbon and energy savings in dense, mixed-use environments.

“This expansion marks another step forward in our partnership with Sunway Property to shape the next generation of sustainable cities,” said Jacques Boonen, Managing Director for Southeast Asia, ENGIE. “It shows that sustainability and growth can go hand-in-hand. What we’re building with Sunway Property goes beyond infrastructure — it’s a model for how advanced cooling solutions can power Malaysia’s low-carbon transition and inspire similar developments across the region.”

Chong Sau Min, Chief Executive Officer of Sunway Property (Central and Northern Region), added, “As a Master Community Developer, we see sustainability as central to how we plan and grow our townships. The success of our first DCS at Sunway Square marked a major milestone, and this expansion builds on that achievement to scale low-carbon infrastructure across Sunway City Kuala Lumpur. Together with ENGIE, we’re integrating advanced energy solutions that strengthen our ecosystem and move us closer towards creating a smarter, more sustainable city for generations to come.”

Professor Dato' Elizabeth Lee, Chief Executive Officer of the Sunway Education Group shared, "As an institution committed to nurturing future leaders with a heart for a greener future, we recognise our responsibility to model sustainable practices across our campus infrastructure. This partnership with ENGIE brings real-world innovation to our doorstep, enhancing energy efficiency and reducing carbon emissions. It provides our academics with the opportunity to translate theoretical learning into real-world application, strengthening the link between teaching, research, and practice. This collaboration sets a strong example for our students and campus community, demonstrating how modern, innovative infrastructure solutions can support both institutional growth and climate action."

 

Engineering Innovation that Balances Design, Efficiency, and Space

The collaboration between ENGIE and Sunway Property reflects a long-term commitment to advancing sustainable urban development in Malaysia. The partnership began in 2020 and subsequently progressed into the Sunway Square DCS project in 2022, demonstrates how technical innovation and design excellence can coexist to support a low-carbon future.

Commissioned in mid-2025, the cooling plant features the state-of-the-art design of the Chilled Water Thermal Energy Storage (TES) tank that functions as a "mechanical battery," improving system efficiency, resilience and cost optimisation. Recognising the premium on urban land and Sunway Property’s emphasis on aesthetics, ENGIE’s engineers integrated the TES tank within a car ramp spiral – to preserve valuable space use while blending seamlessly with the surrounding architecture.

ENGIE’s innovative design integrates the chilled water thermal energy storage (TES) tank within Sunway Square’s car ramp spiral — a smart solution that maximises space efficiency while blending seamlessly with the site’s architecture.

 

This innovation sets a new benchmark for how sustainable infrastructure integration in high-density environments, showing how engineering creativity can solve spatial and environmental challenges simultaneously.

 

A Proven Model for Low-Carbon Urban Development

The Sunway Square DCS is targeted to achieve around 20% energy savings in air conditioning cost and CO₂ emissions, laying the foundation of a wider cooling network delivering sustainable, scalable cooling solution across both commercial and institutional developments.

Globally, ENGIE operates 100 district cooling networks, including leading projects in Southeast Asia such as the Megajana DCS in Cyberjaya, Malaysia, Northgate DCS in the Philippines; and Punggol Digital District DCS in Singapore – demonstrating a consistent track record in delivering reliable, efficient, and low-carbon energy solutions.

 

 

About ENGIE

ENGIE is a major player in the energy transition, whose purpose is to accelerate the transition towards a carbon-neutral economy. With 98,000 employees in 30 countries, the Group covers the entire energy value chain, from production to infrastructures and sales. ENGIE combines complementary activities: renewable electricity and green gas production, flexibility assets (notably batteries), gas and electricity transmission and distribution networks, local energy infrastructures (heating and cooling networks) and the supply of energy to individuals, local authorities and businesses. Every year, ENGIE invests more than €10 billion to drive forward the energy transition and achieve its net-zero carbon goal by 2045. Turnover in 2024: €73.8 billion. The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, Euronext 100, FTSE Euro 100, MSCI Europe) and non-financial indices (DJSI World, Euronext Vigeo Eiris - Europe 120 / France 20, MSCI EMU ESG screened, MSCI EUROPE ESG Universal Select, Stoxx Europe 600 ESG-X).

In Southeast Asia, ENGIE is a fast-growing team of more than 2,000 employees, operating across Singapore, Malaysia, and the Philippines. We deliver integrated low-carbon energy solutions — from energy performance services, district cooling, onsite solar, and EV charging, to large-scale renewable projects and energy management solutions. Through our presence across the entire energy value chain, we help clients decarbonise their operations today, for a better tomorrow.

 

About Sunway Property

Sunway Property is the property division of Sunway Group, Malaysia’s leading conglomerate listed on Bursa Malaysia and a constituent of the FTSE4Good Index Series. As a Master Community Developer, Sunway Property champions UNSDG 11, creating inclusive, safe, resilient, and sustainable communities. With over 5,000 acres of integrated developments across Malaysia and a growing international presence, Sunway Property delivers healthy, connected ecosystems for communities to live, learn, work, and play. Its portfolio includes internationally acclaimed projects in Malaysia, Singapore and China. For more information, visit www.sunwayproperty.com.  

 

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